/biz/ - Business & Finance

Ethereum is clogged up right now. It's a serious issue. Basically arb bots are using up all the available space. if you're a dev, and want to build something remotely complex, it's impossible to do so on ethereum because it will be totally unaffordable.

ITT: We discuss winners and losers of this trend.

Firstly, obvious loser: Ethereum. Not saying it will go down, but it will underperform.

Now, the winners.

To start, LINK is one. Blockchains fragmenting increases the importance of what LINK offers. Using single source uniswap oracles when volume is moving off ethereum is a bad idea. You'll have volume fragmented across multiple dexes, cexes and now across multiple blockchains. Chainlinks service is more necessary than ever. Plus, chainlink can do better when the focus moves away from ethereum and gas prices drop.

Next up: Thorchain and HydraDX (Thorchain is live, HydraDX is not yet). Cross chain liquidity, no brainer.

Let's talk about L1s and L2s next. For L2s, Matic/Polygon seems like the clear winner so far in terms of tokens you can invest in, and still seems somewhat undervalued at like rank 75.

On L1s, they need to be EVM compatible. They need to be working/not vaporware. So far I see two clear winners here: Avalanche and Fantom. Both seem quite scalable and are EVM compatible, which is why we're already seeing substantial development on both.


Personally I have reduced my ethereum exposure, and increased my LINK exposure, added Fantom, Matic, and Thorchain, and am also long AVAX.

>>28435777
Holy moly it sure reeks of curry in here.

>>28435683
wallets are already back, poo hands

Im going to launder the millions I will make from AVAX with gift cards and IRS will never see a cent of it. Suck my dick and get fucked

the fud is so fucking delicious in these threads... wagmi

Anchoring is a psychological effect whereby people's estimates of numbers or values are affected by previous but unrelated numbers or values. In other words, their guess of a number is "anchored" to the previous number.

Example: people are asked to think of their social security number and then estimate the height of a tree. People with higher social security numbers are more likely to pick higher estimates for the height of a tree.

Anchoring also plays a big role in investing.

Avalanche was at $5 a few weeks ago. A common fallacy is that it has already done a 10x, therefore it can't rise much more. Rather than thinking fundamentally what avalanche is worth, people are anchored to the fact that it was $5 a few weeks ago.

If Avalanche was trading at $20 for most of 2020 instead of $5, then these same people would be happy to buy avalanche, because its only done 2.5x, surely it can do more.

This is irrational thinking. Instead, we should look at avalanche's fundamentals and compare it to similar projects.

Firstly, what is avalanche? Broadly, it's an eth competitor. Similar to say Polkadot or Cardano. They all have, or aim to have smart contracts, programmable money, fast transactions etc.

Ok, so how does Avalanche compare to Cardano or Polkadot?

Damn, if only there was a new blockchain that's fully compatible with ethereum, had instant transactions and a fraction of the gas...

People may think they have missed avalanche because it's up so much, but really all that's happening is Avalanche is catching up to fundamentals.

What has been apparent to those in the know for a few weeks is slowly becoming apparent for everyone else: That avalanche is the best ethereum competitor, and it isn't close.

Avalanche has just launched its ethereum bridge and with it Pangolin, a uniswap fork, has launched. You can use it right now to swap tokens. Your transactions will be instant, and you will get a better fill than you would on uniswap due to the lack of insane gas fees.

That's right: If you wanted to swap 1 ETH for LINK on a dex, your best bet is not uniswap or sushiswap or bancor or dodo, it is Pangolin. You will get about 2% more LINK for the same amount of ETH.

This is not true for any other ethereum competitor. And soon, many more projects will be moving over. Already announced is bZx (margin trading, borrowing, lending), Yield (yield farming), prosper (prediction market).

Over the next few weeks we will see a wave of several new integrations. And when I say integrations, I don't mean 2017 hopium "Look SAP is now partnered with my ghostchain!", I mean actual dApps that you will be able to go and use.

So what is the upside for avalanche?

Cardano/Polkadot are about 7-8x from here. There is no fundamental reason why Avalanche should not be worth more than Cardano or Polkadot. There is plenty of reason for it to be worth more. It's pretty much inevitable that avalanche will make it to the top 10.

This just makes me even more bullish on avax. All working as intended. Transactions literally confirm instantly and cost a tiny fraction of what uniswap does.

>>28145249

Good Riddance

>>28129033
>>28128388
well now I know what coin im NOT investing in

aeb.xyz

>>28080199
Good choice friend.

Eth maxis starting to get salty on twitter. And rightfully so, we are coming for you!

Avalanche basically does everything an L2 does so why not just move over?